Robinhood to Buy Back Sam Bankman-Fried's Stake for $605.7M
The 55 million HOOD shares were owned by Sam Bankman-Fried and fellow FTX co-founder Gary Wang through Emergent Fidelity Technologies
Sep 1, 2023 at 1:42 p.m. UTC:format(webp)/cloudfront-us-east-1.images.arcpublishing.com/coindesk/VDHXA3YH6REPPPUYQ4BMUBAR6I.jpg)
ROBINHOOD app on a smartphone (Shutterstock)
Popular trading platform Robinhood (HOOD) has agreed with the United States Marshal Service (USMS) to buy back $605.7 million in stock previously owned by Sam Bankman-Fried, founder of the now-bankrupt crypto exchange FTX.
The U.S. government seized the 55 million HOOD shares owned by Bankman-Fried and fellow FTX co-founder Gary Wang through Emergent Fidelity Technologies holding company around the start of this year.
The share repurchase agreement was approved by the U.S. District Court for the Southern District of New York on Aug. 28, according to a U.S. Securities and Exchange Commission Filing dated Aug. 30.
Robinhood shares climbed around 3% to $11.21 during the early Friday trading session.
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Jamie Crawley is a CoinDesk news reporter based in London.
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